---
kind: "section"
citation: "20 U.S.C. § 1413"
title: "20"
title_heading: "Education"
number: "1413"
heading: "Local educational agency eligibility"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/20/1413"
units:
  - "Chapter 33 — Education of Individuals with Disabilities"
  - "Subchapter II — Assistance for Education of All Children with Disabilities"
---

# §1413. Local educational agency eligibility

- (a) **In general—** A [local educational agency](/usc/20/1401.md?p=19-A) is eligible for assistance under this subchapter for a fiscal year if such agency submits a plan that provides assurances to the [State educational agency](/usc/20/1401.md?p=32) that the [local educational agency](/usc/20/1401.md?p=19-A) meets each of the following conditions:
  - (1) **Consistency with State policies—** The [local educational agency](/usc/20/1401.md?p=19-A), in providing for the education of children with disabilities within its jurisdiction, has in effect policies, procedures, and programs that are consistent with the [State](/usc/20/1401.md?p=31) policies and procedures established under [section 1412 of this title](/usc/20/1412.md).
  - (2) **Use of amounts—**
    - (A) **In general—** Amounts provided to the [local educational agency](/usc/20/1401.md?p=19-A) under this subchapter shall be expended in accordance with the applicable provisions of this subchapter and—
      - (i) shall be used only to pay the [excess costs](/usc/20/1401.md?p=8) of providing [special education](/usc/20/1401.md?p=29) and [related services](/usc/20/1401.md?p=26-A) to children with disabilities;
      - (ii) shall be used to supplement [State](/usc/20/1401.md?p=31), local, and other Federal funds and not to supplant such funds; and
      - (iii) shall not be used, except as provided in subparagraphs [(B)](#a-2-B) and [(C)](#a-2-C), to reduce the level of expenditures for the education of children with disabilities made by the [local educational agency](/usc/20/1401.md?p=19-A) from local funds below the level of those expenditures for the preceding fiscal year.
    - (B) **Exception—** Notwithstanding the restriction in [subparagraph (A)(iii)](#a-2-A-iii), a [local educational agency](/usc/20/1401.md?p=19-A) may reduce the level of expenditures where such reduction is attributable to—
      - (i) the voluntary departure, by retirement or otherwise, or departure for just cause, of [special education](/usc/20/1401.md?p=29) [personnel](/usc/20/1451.md?p=b);
      - (ii) a decrease in the enrollment of children with disabilities;
      - (iii) the termination of the obligation of the agency, consistent with this subchapter, to provide a program of [special education](/usc/20/1401.md?p=29) to a particular [child with a disability](/usc/20/1401.md?p=3-A) that is an exceptionally costly program, as determined by the [State educational agency](/usc/20/1401.md?p=32), because the child—
        - (I) has left the jurisdiction of the agency;
        - (II) has reached the age at which the obligation of the agency to provide a [free appropriate public education](/usc/20/1401.md?p=9) to the child has terminated; or
        - (III) no longer needs such program of [special education](/usc/20/1401.md?p=29); or
      - (iv) the termination of costly expenditures for long-term purchases, such as the acquisition of [equipment](/usc/20/1401.md?p=7) or the construction of school facilities.
    - (C) **Adjustment to local fiscal effort in certain fiscal years—**
      - (i) **Amounts in excess—** Notwithstanding clauses [(ii)](#a-2-A-ii) and [(iii)](#a-2-A-iii) of subparagraph (A), for any fiscal year for which the allocation received by a [local educational agency](/usc/20/1401.md?p=19-A) under [section 1411(f) of this title](/usc/20/1411.md?p=f) exceeds the amount the [local educational agency](/usc/20/1401.md?p=19-A) received for the previous fiscal year, the [local educational agency](/usc/20/1401.md?p=19-A) may reduce the level of expenditures otherwise required by [subparagraph (A)(iii)](#a-2-A-iii) by not more than 50 percent of the amount of such excess.
      - (ii) **Use of amounts to carry out activities under ESEA—** If a [local educational agency](/usc/20/1401.md?p=19-A) exercises the authority under [clause (i)](#a-2-C-i), the agency shall use an amount of local funds equal to the reduction in expenditures under [clause (i)](#a-2-C-i) to carry out activities authorized under the Elementary and Secondary Education Act of 1965 [[20 U.S.C. 6301](/usc/20/6301.md) et seq.].
      - (iii) **State prohibition—** Notwithstanding [clause (i)](#a-2-C-i), if a [State educational agency](/usc/20/1401.md?p=32) determines that a [local educational agency](/usc/20/1401.md?p=19-A) is unable to establish and maintain programs of [free appropriate public education](/usc/20/1401.md?p=9) that meet the requirements of [subsection (a)](#a) or the [State educational agency](/usc/20/1401.md?p=32) has taken action against the [local educational agency](/usc/20/1401.md?p=19-A) under [section 1416 of this title](/usc/20/1416.md), the [State educational agency](/usc/20/1401.md?p=32) shall prohibit the [local educational agency](/usc/20/1401.md?p=19-A) from reducing the level of expenditures under [clause (i)](#a-2-C-i) for that fiscal year.
      - (iv) **Special rule—** The amount of funds expended by a [local educational agency](/usc/20/1401.md?p=19-A) under [subsection (f)](#f) shall count toward the maximum amount of expenditures such [local educational agency](/usc/20/1401.md?p=19-A) may reduce under [clause (i)](#a-2-C-i).
    - (D) **Schoolwide programs under title I of the ESEA—** Notwithstanding [subparagraph (A)](#a-2-A) or any other provision of this subchapter, a [local educational agency](/usc/20/1401.md?p=19-A) may use funds received under this subchapter for any fiscal year to carry out a schoolwide program under section 1114 of the Elementary and Secondary Education Act of 1965 [[20 U.S.C. 6314](/usc/20/6314.md)], except that the amount so used in any such program shall not exceed—
      - (i) the number of children with disabilities participating in the schoolwide program; multiplied by
      - (ii)
        - (I) the amount received by the [local educational agency](/usc/20/1401.md?p=19-A) under this subchapter for that fiscal year; divided by
        - (II) the number of children with disabilities in the jurisdiction of that agency.
  - (3) **Personnel development—** The [local educational agency](/usc/20/1401.md?p=19-A) shall ensure that all [personnel](/usc/20/1451.md?p=b) necessary to carry out this subchapter are appropriately and adequately prepared, subject to the requirements of [section 1412(a)(14) of this title](/usc/20/1412.md?p=a-14) and [section 2102(b)](/usc/20/2102.md) of the Elementary and Secondary Education Act of 1965 [[20 U.S.C. 6612(b)](/usc/20/6612.md?p=b)].
  - (4) **Permissive use of funds—**
    - (A) **Uses—** Notwithstanding [paragraph (2)(A)](#a-2-A) or [section 1412(a)(17)(B) of this title](/usc/20/1412.md?p=a-17-B) (relating to commingled funds), funds provided to the [local educational agency](/usc/20/1401.md?p=19-A) under this subchapter may be used for the following activities:
      - (i) **Services and aids that also benefit nondisabled children—** For the costs of [special education](/usc/20/1401.md?p=29) and [related services](/usc/20/1401.md?p=26-A), and [supplementary aids and services](/usc/20/1401.md?p=33), provided in a regular class or other education-related setting to a [child with a disability](/usc/20/1401.md?p=3-A) in accordance with the [individualized education program](/usc/20/1401.md?p=14) of the child, even if 1 or more nondisabled children benefit from such services.
      - (ii) **Early intervening services—** To develop and implement coordinated, early intervening educational services in accordance with [subsection (f)](#f).
      - (iii) **High cost education and related services—** To establish and implement cost or risk sharing funds, consortia, or cooperatives for the [local educational agency](/usc/20/1401.md?p=19-A) itself, or for [local educational agencies](/usc/20/1401.md?p=19-A) working in a consortium of which the [local educational agency](/usc/20/1401.md?p=19-A) is a part, to pay for high cost [special education](/usc/20/1401.md?p=29) and [related services](/usc/20/1401.md?p=26-A).
    - (B) **Administrative case management—** A [local educational agency](/usc/20/1401.md?p=19-A) may use funds received under this subchapter to purchase appropriate technology for recordkeeping, data collection, and related case management activities of teachers and [related services](/usc/20/1401.md?p=26-A) [personnel](/usc/20/1451.md?p=b) providing services described in the [individualized education program](/usc/20/1401.md?p=14) of children with disabilities, that is needed for the implementation of such case management activities.
  - (5) **Treatment of charter schools and their students—** In carrying out this subchapter with respect to charter schools that are public schools of the [local educational agency](/usc/20/1401.md?p=19-A), the [local educational agency](/usc/20/1401.md?p=19-A)—
    - (A) serves children with disabilities attending those charter schools in the same manner as the [local educational agency](/usc/20/1401.md?p=19-A) serves children with disabilities in its other schools, including providing supplementary and [related services](/usc/20/1401.md?p=26-A) on site at the charter school to the same extent to which the [local educational agency](/usc/20/1401.md?p=19-A) has a policy or practice of providing such services on the site to its other public schools; and
    - (B) provides funds under this subchapter to those charter schools—
      - (i) on the same basis as the [local educational agency](/usc/20/1401.md?p=19-A) provides funds to the [local educational agency](/usc/20/1401.md?p=19-A)’s other public schools, including proportional distribution based on relative enrollment of children with disabilities; and
      - (ii) at the same time as the agency distributes other Federal funds to the agency’s other public schools, consistent with the [State](/usc/20/1401.md?p=31)’s charter school law.
  - (6) **Purchase of instructional materials—**
    - (A) **In general—** Not later than 2 years after December 3, 2004, a [local educational agency](/usc/20/1401.md?p=19-A) that chooses to coordinate with the National Instructional Materials Access Center, when purchasing print instructional materials, shall acquire the print instructional materials in the same manner and subject to the same conditions as a [State educational agency](/usc/20/1401.md?p=32) acquires print instructional materials under [section 1412(a)(23) of this title](/usc/20/1412.md?p=a-23).
    - (B) **Rights of local educational agency—** Nothing in this paragraph shall be construed to require a [local educational agency](/usc/20/1401.md?p=19-A) to coordinate with the National Instructional Materials Access Center. If a [local educational agency](/usc/20/1401.md?p=19-A) chooses not to coordinate with the National Instructional Materials Access Center, the [local educational agency](/usc/20/1401.md?p=19-A) shall provide an assurance to the [State educational agency](/usc/20/1401.md?p=32) that the [local educational agency](/usc/20/1401.md?p=19-A) will provide instructional materials to blind persons or other persons with print disabilities in a timely manner.
  - (7) **Information for State educational agency—** The [local educational agency](/usc/20/1401.md?p=19-A) shall provide the [State educational agency](/usc/20/1401.md?p=32) with information necessary to enable the [State educational agency](/usc/20/1401.md?p=32) to carry out its duties under this subchapter, including, with respect to paragraphs (15) and (16) of [section 1412(a) of this title](/usc/20/1412.md?p=a), information relating to the performance of children with disabilities participating in programs carried out under this subchapter.
  - (8) **Public information—** The [local educational agency](/usc/20/1401.md?p=19-A) shall make available to [parents](/usc/20/1401.md?p=23) of children with disabilities and to the general public all documents relating to the eligibility of such agency under this subchapter.
  - (9) **Records regarding migratory children with disabilities—** The [local educational agency](/usc/20/1401.md?p=19-A) shall cooperate in the [Secretary](/usc/20/1401.md?p=28)’s efforts under section 1308 of the Elementary and Secondary Education Act of 1965 [[20 U.S.C. 6398](/usc/20/6398.md)] to ensure the linkage of records pertaining to migratory children with a disability for the purpose of electronically exchanging, among the [States](/usc/20/1401.md?p=31), health and educational information regarding such children.
- (b) **Exception for prior local plans—**
  - (1) **In general—** If a [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency has on file with the [State educational agency](/usc/20/1401.md?p=32) policies and procedures that demonstrate that such [local educational agency](/usc/20/1401.md?p=19-A), or such [State](/usc/20/1401.md?p=31) agency, as the case may be, meets any requirement of [subsection (a)](#a), including any policies and procedures filed under this subchapter as in effect before the effective date of the Individuals with Disabilities Education Improvement Act of 2004, the [State educational agency](/usc/20/1401.md?p=32) shall consider such [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency, as the case may be, to have met such requirement for purposes of receiving assistance under this subchapter.
  - (2) **Modification made by local educational agency—** Subject to [paragraph (3)](#b-3), an application submitted by a [local educational agency](/usc/20/1401.md?p=19-A) in accordance with this section shall remain in effect until the [local educational agency](/usc/20/1401.md?p=19-A) submits to the [State educational agency](/usc/20/1401.md?p=32) such modifications as the [local educational agency](/usc/20/1401.md?p=19-A) determines necessary.
  - (3) **Modifications required by State educational agency—** If, after the effective date of the Individuals with Disabilities Education Improvement Act of 2004, the provisions of this chapter are amended (or the regulations developed to carry out this chapter are amended), there is a new interpretation of this chapter by Federal or [State](/usc/20/1401.md?p=31) courts, or there is an official finding of noncompliance with Federal or [State](/usc/20/1401.md?p=31) law or regulations, then the [State educational agency](/usc/20/1401.md?p=32) may require a [local educational agency](/usc/20/1401.md?p=19-A) to modify its application only to the extent necessary to ensure the [local educational agency](/usc/20/1401.md?p=19-A)’s compliance with this subchapter or [State](/usc/20/1401.md?p=31) law.
- (c) **Notification of local educational agency or State agency in case of ineligibility—** If the [State educational agency](/usc/20/1401.md?p=32) determines that a [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency is not eligible under this section, then the [State educational agency](/usc/20/1401.md?p=32) shall notify the [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency, as the case may be, of that determination and shall provide such [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency with reasonable notice and an opportunity for a hearing.
- (d) **Local educational agency compliance—**
  - (1) **In general—** If the [State educational agency](/usc/20/1401.md?p=32), after reasonable notice and an opportunity for a hearing, finds that a [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency that has been determined to be eligible under this section is failing to comply with any requirement described in [subsection (a)](#a), the [State educational agency](/usc/20/1401.md?p=32) shall reduce or shall not provide any further payments to the [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency until the [State educational agency](/usc/20/1401.md?p=32) is satisfied that the [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency, as the case may be, is complying with that requirement.
  - (2) **Additional requirement—** Any [State](/usc/20/1401.md?p=31) agency or [local educational agency](/usc/20/1401.md?p=19-A) in receipt of a notice described in [paragraph (1)](#d-1) shall, by means of public notice, take such measures as may be necessary to bring the pendency of an action pursuant to this subsection to the attention of the public within the jurisdiction of such agency.
  - (3) **Consideration—** In carrying out its responsibilities under [paragraph (1)](#d-1), the [State educational agency](/usc/20/1401.md?p=32) shall consider any decision made in a hearing held under [section 1415 of this title](/usc/20/1415.md) that is adverse to the [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency involved in that decision.
- (e) **Joint establishment of eligibility—**
  - (1) **Joint establishment—**
    - (A) **In general—** A [State educational agency](/usc/20/1401.md?p=32) may require a [local educational agency](/usc/20/1401.md?p=19-A) to establish its eligibility jointly with another [local educational agency](/usc/20/1401.md?p=19-A) if the [State educational agency](/usc/20/1401.md?p=32) determines that the [local educational agency](/usc/20/1401.md?p=19-A) will be ineligible under this section because the [local educational agency](/usc/20/1401.md?p=19-A) will not be able to establish and maintain programs of sufficient size and scope to effectively meet the needs of children with disabilities.
    - (B) **Charter school exception—** A [State educational agency](/usc/20/1401.md?p=32) may not require a charter school that is a [local educational agency](/usc/20/1401.md?p=19-A) to jointly establish its eligibility under [subparagraph (A)](#e-1-A) unless the charter school is explicitly permitted to do so under the [State](/usc/20/1401.md?p=31)’s charter school law.
  - (2) **Amount of payments—** If a [State educational agency](/usc/20/1401.md?p=32) requires the joint establishment of eligibility under [paragraph (1)](#e-1), the total amount of funds made available to the affected [local educational agencies](/usc/20/1401.md?p=19-A) shall be equal to the sum of the payments that each such [local educational agency](/usc/20/1401.md?p=19-A) would have received under [section 1411(f) of this title](/usc/20/1411.md?p=f) if such agencies were eligible for such payments.
  - (3) **Requirements—** [Local educational agencies](/usc/20/1401.md?p=19-A) that establish joint eligibility under this subsection shall—
    - (A) adopt policies and procedures that are consistent with the [State](/usc/20/1401.md?p=31)’s policies and procedures under [section 1412(a) of this title](/usc/20/1412.md?p=a); and
    - (B) be jointly responsible for implementing programs that receive assistance under this subchapter.
  - (4) **Requirements for educational service agencies—**
    - (A) **In general—** If an [educational service agency](/usc/20/1401.md?p=5) is required by [State](/usc/20/1401.md?p=31) law to carry out programs under this subchapter, the joint responsibilities given to [local educational agencies](/usc/20/1401.md?p=19-A) under this subsection shall—
      - (i) not apply to the administration and disbursement of any payments received by that [educational service agency](/usc/20/1401.md?p=5); and
      - (ii) be carried out only by that [educational service agency](/usc/20/1401.md?p=5).
    - (B) **Additional requirement—** Notwithstanding any other provision of this subsection, an [educational service agency](/usc/20/1401.md?p=5) shall provide for the education of children with disabilities in the least restrictive environment, as required by [section 1412(a)(5) of this title](/usc/20/1412.md?p=a-5).
- (f) **Early intervening services—**
  - (1) **In general—** A [local educational agency](/usc/20/1401.md?p=19-A) may not use more than 15 percent of the amount such agency receives under this subchapter for any fiscal year, less any amount reduced by the agency pursuant to [subsection (a)(2)(C)](#a-2-C), if any, in combination with other amounts (which may include amounts other than education funds), to develop and implement coordinated, early intervening services, which may include interagency financing structures, for students in kindergarten through grade 12 (with a particular emphasis on students in kindergarten through grade 3) who have not been identified as needing [special education](/usc/20/1401.md?p=29) or [related services](/usc/20/1401.md?p=26-A) but who need additional academic and behavioral support to succeed in a general education environment.
  - (2) **Activities—** In implementing coordinated, early intervening services under this subsection, a [local educational agency](/usc/20/1401.md?p=19-A) may carry out activities that include—
    - (A) professional development (which may be provided by entities other than [local educational agencies](/usc/20/1401.md?p=19-A)) for teachers and other school staff to enable such [personnel](/usc/20/1451.md?p=b) to deliver scientifically based academic instruction and behavioral interventions, including scientifically based literacy instruction, and, where appropriate, instruction on the use of adaptive and instructional software; and
    - (B) providing educational and behavioral evaluations, services, and supports, including scientifically based literacy instruction.
  - (3) **Construction—** Nothing in this subsection shall be construed to limit or create a right to a [free appropriate public education](/usc/20/1401.md?p=9) under this subchapter.
  - (4) **Reporting—** Each [local educational agency](/usc/20/1401.md?p=19-A) that develops and maintains coordinated, early intervening services under this subsection shall annually report to the [State educational agency](/usc/20/1401.md?p=32) on—
    - (A) the number of students served under this subsection; and
    - (B) the number of students served under this subsection who subsequently receive [special education](/usc/20/1401.md?p=29) and [related services](/usc/20/1401.md?p=26-A) under this chapter during the preceding 2-year period.
  - (5) **Coordination with Elementary and Secondary Education Act of 1965—** Funds made available to carry out this subsection may be used to carry out coordinated, early intervening services aligned with activities funded by, and carried out under, the Elementary and Secondary Education Act of 1965 [[20 U.S.C. 6301](/usc/20/6301.md) et seq.] if such funds are used to supplement, and not supplant, funds made available under the Elementary and Secondary Education Act of 1965 for the activities and services assisted under this subsection.
- (g) **Direct services by the State educational agency—**
  - (1) **In general—** A [State educational agency](/usc/20/1401.md?p=32) shall use the payments that would otherwise have been available to a [local educational agency](/usc/20/1401.md?p=19-A) or to a [State](/usc/20/1401.md?p=31) agency to provide [special education](/usc/20/1401.md?p=29) and [related services](/usc/20/1401.md?p=26-A) directly to children with disabilities residing in the area served by that [local educational agency](/usc/20/1401.md?p=19-A), or for whom that [State](/usc/20/1401.md?p=31) agency is responsible, if the [State educational agency](/usc/20/1401.md?p=32) determines that the [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency, as the case may be—
    - (A) has not provided the information needed to establish the eligibility of such [local educational agency](/usc/20/1401.md?p=19-A) or [State](/usc/20/1401.md?p=31) agency under this section;
    - (B) is unable to establish and maintain programs of [free appropriate public education](/usc/20/1401.md?p=9) that meet the requirements of [subsection (a)](#a);
    - (C) is unable or unwilling to be consolidated with 1 or more [local educational agencies](/usc/20/1401.md?p=19-A) in order to establish and maintain such programs; or
    - (D) has 1 or more children with disabilities who can best be served by a regional or [State](/usc/20/1401.md?p=31) program or service delivery system designed to meet the needs of such children.
  - (2) **Manner and location of education and services—** The [State educational agency](/usc/20/1401.md?p=32) may provide [special education](/usc/20/1401.md?p=29) and [related services](/usc/20/1401.md?p=26-A) under [paragraph (1)](#g-1) in such manner and at such locations (including regional or [State](/usc/20/1401.md?p=31) centers) as the [State educational agency](/usc/20/1401.md?p=32) considers appropriate. Such education and services shall be provided in accordance with this subchapter.
- (h) **State agency eligibility—** Any [State](/usc/20/1401.md?p=31) agency that desires to receive a subgrant for any fiscal year under [section 1411(f) of this title](/usc/20/1411.md?p=f) shall demonstrate to the satisfaction of the [State educational agency](/usc/20/1401.md?p=32) that—
  - (1) all children with disabilities who are participating in programs and projects funded under this subchapter receive a [free appropriate public education](/usc/20/1401.md?p=9), and that those children and their [parents](/usc/20/1401.md?p=23) are provided all the rights and procedural safeguards described in this subchapter; and
  - (2) the agency meets such other conditions of this section as the [Secretary](/usc/20/1401.md?p=28) determines to be appropriate.
- (i) **Disciplinary information—** The [State](/usc/20/1401.md?p=31) may require that a [local educational agency](/usc/20/1401.md?p=19-A) include in the records of a [child with a disability](/usc/20/1401.md?p=3-A) a statement of any current or previous disciplinary action that has been taken against the child and transmit such statement to the same extent that such disciplinary information is included in, and transmitted with, the student records of nondisabled children. The statement may include a description of any behavior engaged in by the child that required disciplinary action, a description of the disciplinary action taken, and any other information that is relevant to the safety of the child and other individuals involved with the child. If the [State](/usc/20/1401.md?p=31) adopts such a policy, and the child transfers from 1 school to another, the transmission of any of the child’s records shall include both the child’s current [individualized education program](/usc/20/1401.md?p=14) and any such statement of current or previous disciplinary action that has been taken against the child.
- (j) **State agency flexibility—**
  - (1) **Adjustment to State fiscal effort in certain fiscal years—** For any fiscal year for which the allotment received by a [State](/usc/20/1401.md?p=31) under [section 1411 of this title](/usc/20/1411.md) exceeds the amount the [State](/usc/20/1401.md?p=31) received for the previous fiscal year and if the [State](/usc/20/1401.md?p=31) in school year 2003–2004 or any subsequent school year pays or reimburses all [local educational agencies](/usc/20/1401.md?p=19-A) within the [State](/usc/20/1401.md?p=31) from [State](/usc/20/1401.md?p=31) revenue 100 percent of the non-Federal share of the costs of [special education](/usc/20/1401.md?p=29) and [related services](/usc/20/1401.md?p=26-A), the [State educational agency](/usc/20/1401.md?p=32), notwithstanding paragraphs (17) and (18) of [section 1412(a) of this title](/usc/20/1412.md?p=a) and [section 1412(b) of this title](/usc/20/1412.md?p=b), may reduce the level of expenditures from [State](/usc/20/1401.md?p=31) sources for the education of children with disabilities by not more than 50 percent of the amount of such excess.
  - (2) **Prohibition—** Notwithstanding [paragraph (1)](#j-1), if the [Secretary](/usc/20/1401.md?p=28) determines that a [State educational agency](/usc/20/1401.md?p=32) is unable to establish, maintain, or oversee programs of [free appropriate public education](/usc/20/1401.md?p=9) that meet the requirements of this subchapter, or that the [State](/usc/20/1401.md?p=31) needs assistance, intervention, or substantial intervention under [section 1416(d)(2)(A) of this title](/usc/20/1416.md?p=d-2-A), the [Secretary](/usc/20/1401.md?p=28) shall prohibit the [State educational agency](/usc/20/1401.md?p=32) from exercising the authority in [paragraph (1)](#j-1).
  - (3) **Education activities—** If a [State educational agency](/usc/20/1401.md?p=32) exercises the authority under [paragraph (1)](#j-1), the agency shall use funds from [State](/usc/20/1401.md?p=31) sources, in an amount equal to the amount of the reduction under [paragraph (1)](#j-1), to support activities authorized under the Elementary and Secondary Education Act of 1965 [[20 U.S.C. 6301](/usc/20/6301.md) et seq.] or to support need based student or teacher higher education programs.
  - (4) **Report—** For each fiscal year for which a [State educational agency](/usc/20/1401.md?p=32) exercises the authority under [paragraph (1)](#j-1), the [State educational agency](/usc/20/1401.md?p=32) shall report to the [Secretary](/usc/20/1401.md?p=28) the amount of expenditures reduced pursuant to such paragraph and the activities that were funded pursuant to [paragraph (3)](#j-3).
  - (5) **Limitation—** Notwithstanding [paragraph (1)](#j-1), a [State educational agency](/usc/20/1401.md?p=32) may not reduce the level of expenditures described in [paragraph (1)](#j-1) if any [local educational agency](/usc/20/1401.md?p=19-A) in the [State](/usc/20/1401.md?p=31) would, as a result of such reduction, receive less than 100 percent of the amount necessary to ensure that all children with disabilities served by the [local educational agency](/usc/20/1401.md?p=19-A) receive a [free appropriate public education](/usc/20/1401.md?p=9) from the combination of Federal funds received under this chapter and [State](/usc/20/1401.md?p=31) funds received from the [State educational agency](/usc/20/1401.md?p=32).

## Source credit

(Pub. L. 91–230, title VI, § 613, as added Pub. L. 108–446, title I, § 101, Dec. 3, 2004, 118 Stat. 2694; amended Pub. L. 114–95, title IX, § 9215(ss)(4), Dec. 10, 2015, 129 Stat. 2182.)

## Notes

### Editorial Notes

### References in Text

The Elementary and Secondary Education Act of 1965, referred to in subsecs. (a)(2)(C)(ii), (f)(5), and (j)(3), is Pub. L. 89–10, Apr. 11, 1965, 79 Stat. 27, which is classified generally to chapter 70 (§ 6301 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 6301 of this title and Tables.

For the effective date of the Individuals with Disabilities Education Improvement Act of 2004, referred to in subsec. (b)(1), (3), see section 302(a), (b) of Pub. L. 108–446, set out as an Effective Date note under section 1400 of this title.

### Prior Provisions

A prior section 1413, Pub. L. 91–230, title VI, § 613, as added Pub. L. 105–17, title I, § 101, June 4, 1997, 111 Stat. 73; amended Pub. L. 107–110, title X, § 1076(i), Jan. 8, 2002, 115 Stat. 2091, related to local educational agency eligibility, prior to the general amendment of subchapters I to IV of this chapter by Pub. L. 108–446.

Another prior section 1413, Pub. L. 91–230, title VI, § 613, Apr. 13, 1970, 84 Stat. 179; Pub. L. 93–380, title VI, §§ 614(c), (d), 615(b), (c), title VIII, § 843(b)(2), Aug. 21, 1974, 88 Stat. 581, 583, 611; Pub. L. 94–142, § 5(a), Nov. 29, 1975, 89 Stat. 782; Pub. L. 98–199, §§ 3(b), 7, Dec. 2, 1983, 97 Stat. 1358, 1359; Pub. L. 99–457, title II, § 203(b), title IV, § 405, Oct. 8, 1986, 100 Stat. 1159, 1174; Pub. L. 100–630, title I, § 102(c), Nov. 7, 1988, 102 Stat. 3291; Pub. L. 101–476, title II, § 202, title IX, § 901(b)(47)–(58), Oct. 30, 1990, 104 Stat. 1111, 1144; Pub. L. 102–119, §§ 5, 25(a)(6), (b), Oct. 7, 1991, 105 Stat. 591, 606, 607; Pub. L. 103–382, title III, § 391(f)(2), Oct. 20, 1994, 108 Stat. 4023, related to requisite features of a State plan, approval of State plan by Secretary, and participation of children with disabilities enrolled in private schools, prior to the general amendment of subchapters I to IV of this chapter by Pub. L. 105–17.

### Amendments

2015—Subsec. (a)(3). Pub. L. 114–95 substituted “subject to the requirements of section 1412(a)(14) of this title and section 2102(b) of the Elementary and Secondary Education Act of 1965” for “subject to the requirements of section 1412(a)(14) of this title and section 2122 of the Elementary and Secondary Education Act of 1965”.

### Statutory Notes and Related Subsidiaries

### Effective Date of 2015 Amendment

Amendment by Pub. L. 114–95 effective Dec. 10, 2015, except with respect to certain noncompetitive programs and competitive programs, see section 5 of Pub. L. 114–95, set out as a note under section 6301 of this title.